18) The government unit that wants to achieve "revenue enhancement" will find it considerably more favorable to impose tax on goods whose demand is A) highly elastic. B) relatively elastic. C) highly inelastic. D) unitary elastic.

18) The government unit that wants to achieve "revenue enhancement" will find it considerably more favorable to impose tax on goods whose demand is A) highly elastic. B) relatively elastic. C) highly inelastic. D) unitary elastic.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter6: Supply, Demand And Government Policies

Section: Chapter Questions

Problem 6CQQ

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Question

18) The government unit that wants to achieve "revenue enhancement" will find it considerably
more favorable to impose tax on goods whose demand is
A) highly elastic.
B) relatively elastic.
C) highly inelastic.
D) unitary elastic.

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